-In Some Industries It Is Important for Each Firm to Predict

Multiple Choice

-In some industries it is important for each firm to predict how all the other firms will react to their decisions.

A) This is not true for monopolistic competition because there are too many firms and no barriers to entry.
B) This is not true of any industry with barriers to entry.
C) This is not true for monopolistic competition because firms do not sell homogeneous goods.
D) This is true for oligopoly because these firms sell a homogeneous good.